Media Planning & Buying in the 21st Century

CHAPTER 8

Media in marketing

Media Planning & Buying in the 21st Century

M A R K E T I N G P L A N N I N G P R O C E SS

Situation analysisDefining the problem

Problems & OpportunitiesObjectives, Strategies & Tactics

Marketing ObjectivesMarketing Strategies

Marketing Action Plan

Agenda

Media Planning & Buying in the 21st Century

Marketing Planning Process

1. Mission statement: what business are you in? What are the company’s values?

2. Situation analysis: where are we?

3. Marketing Objectives: where do we want to

go?

4. Marketing Strategy: How do we get there?

5. Marketing Tactical Plan: What is the best

plan for getting us there?

Media Planning & Buying in the 21st Century

Situation Analysis

Asks/Answers: Where are we?

A comprehensive review and analysis of business performance, e.g.: Industry and brand sales/share trends Consumer characteristics and diagnostics Geographic issues Trade & distribution situation and issues Competitive activity Performance of previous marketing plans Identify problems and opportunities

Media application: provides data & understanding of what brand faces

Media Planning & Buying in the 21st Century

Defining the Problem

One of the most important planning tasks is to accurately define the problem. You cannot solve a problem if you don’t know what it is

Unfortunately, there is often confusion about the difference between problems and symptoms

Clients often equate sales declines with the problem; however, a decline in sales is usually a symptom of some other problem(s) which should be identified before taking action

Example: If you had a severe stomach ache (symptom), would you hope that your doctor identify the problem as the flu or a bad appendix before operating?

Media Planning & Buying in the 21st Century

Problems & Opportunities

Problems & Opportunities The media plan should, when possible, address key marketing

problems or opportunities identified in the situation analysis and client discussions

Problems include sales obstacles like: Product deficiencies Inadequate distribution Low top of mind awareness Low purchase consideration Low quality image Low trial or repurchase

Opportunities include things like: Competitor is low on stock Consumers are amazed at quality of the product An opportunity exists to create a major joint promotion with

Fortune 500 companies

Media Planning & Buying in the 21st Century

Every Product has Problems & Opportunities

Media Planning & Buying in the 21st Century

Campbell Soup Case Study

Campbell Soup sales were decliningConducted research to identify “why”Research identified the problem: mothers were forgetting

about soup as a nutritious lunch for their children (declining top of mind awareness)

Consequently, pantry stocks of soups were increasing eliminating the need to buy more soup.

If pantry stocks were reduced, moms might buy more soup

To solve the problem, mothers had to think of soup for the kids’ lunches

Media solution: pre-lunch time radio reminding moms to serve nutritious soup! It worked!!

Media Planning & Buying in the 21st Century

Objectives, Strategies & Tactics

Objectives What do you want to accomplish? Maybe your personal objective is to go to Rome

Strategies How are you going to accomplish the objectives? To get to Rome, you decide to fly

Tactics What are the details of the proposed strategy? To fly to Rome, you select Flight 007 leaving at 6 AM

on May 1, 2011 from Fargo International Airport

Media Planning & Buying in the 21st Century

Marketing Objectives

From a business and marketing perspective, what does the company/brand want to accomplish in the next year and five years out? Examples:

Sales (total/by segment) Market share (total/by segment) Distribution Definition of the brand

Media Application: Use marketing objectives to help define communications tasks and the magnitude of the tasks.

Media Planning & Buying in the 21st Century

Marketing Strategy

Target Market: Source of Volume Where will the business come from?

Current customers? Competitors’ customers? Market expansion like I-Phone?

Marketing Mix: Strategies to employ How do we best address the target market with a

communications mix which will achieve the marketing objectives?

Media Application: Understand target audience considerations and marketing mix roles

Media Planning & Buying in the 21st Century

Source of Volume/Target Markets

Source of Sales Volume Define consumer groups which will account for sales

volume Where is business most likely to come from?

Market expansion Current Customers New Customers

From which specific competitors? From which Consumer Segments? Non Users vs. Heavy Users? Other?

Media Planning & Buying in the 21st Century

Marketing Mix Addresses Target Markets (Source of Volume)

AdvertisingPromotionDirect MarketingPublic RelationsPersonal SellingOther MARCOM

Media Planning & Buying in the 21st Century

Marketing Plan

Marketing plan is a translation of the marketing strategy into an action plan which provides details, including advertising plans, promotions, timing of new product introductions, changes in product, pricing, distribution initiatives, etc., in relation to the brand’s marketing goals & objectives

The marketing plan includes proposed budgets to support elements of the plan, e.g., ad budget, cost of purchase incentives , etc.

Media Application: The media plan may have to support many of the initiatives in the marketing plan, e.g., to support a year end sales event or launch a new product.